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When Your CDP Met GenAI: 8 Ways They Change the Marketing Game

It's like having Sherlock Holmes with the brain of Albert Einstein on your marketing team. The union of GenAI and CDP is a powerful tool at the hands of marketers. It can help identify customer trends, boost customer engagement, and create personalized experiences that captivate your audience. We count eight ways it can take your marketing to the next level

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If you’re reading this, then chances are you’re using a CDP to optimize your marketing efforts – and we’ll bet darned good money that you’ve been reaping the rewards – right?  

From gaining a 360-degree view of your audience to creating targeted campaigns and hyper-personalized content, your CDP is your secret weapon for driving engagement, boosting conversions, and building long-term customer loyalty. Adios to generic messaging that never hit that sweet spot, and hello to insanely tailored customer experiences that captivate your audience and put you one step ahead of the competition. So far, so fabulous – but what if we told you that by partnering up with Generative AI, aka GenAI, your CDP could elevate your marketing efforts to even dizzier heights? Let’s dive in and discover what you might miss out on … 

A quick word on Generative AI 

Picture a world where machines can dream, imagine, and create. If you’ve been keeping up with the discourse around ChatGPT, or doom-scrolling through your social feeds regularly, you’ll know we’re not too far off that world.   

GenAI uses complex algorithms and neural networks to learn from vast amounts of data and generate content that feels remarkably … human. But as you’ll have figured, GenAI isn’t just about creating virtual worlds or arguing with ChatGPT about the meaning of life. When it comes to marketing, GenAI can propel your efforts to a whole new level – when it teams up with your Customer Data Platform. 

GenAI, your CDP, and customer trends 

Fact: GenAI’s analytical prowess, combined with your CDP’s data-rich environment, creates an unstoppable force – taking charge, exploring mountains of data, seeking patterns, and unearthing insights that even the savviest marketer could miss.  

In a way, it’s like having Sherlock Holmes with the brain of Albert Einstein on your marketing team – and we could all do with one of these. But where the marriage of GenAI and your CDP comes into its own is the ability to identify customer trends. This secret sauce helps you stay ahead of the curve, create hyper-relevant campaigns, and connect with your audience on a far more profound, richer level. 

Consider it: customer trends are like whispers from the market, telling you what your customers want, what excites them, and what makes them tick. By paying attention to these trends, you gain valuable insights that can transform your marketing strategies and drive impactful results: 

  • Purchase patterns: GenAI can analyze vast amounts of customer transaction data stored in a CDP to identify purchase patterns, revealing insights such as preferred products, frequent purchase intervals, seasonal buying trends, and even cross-category purchasing behavior. Understanding these patterns will help your team optimize their messaging, pricing strategies, and promotional campaigns in ways that align perfectly with customer preferences. 
  • Customer segmentation: By examining multiple data points within a CDP, GenAI can identify distinct customer segments with similar characteristics and behaviors. It can uncover segments based on demographics, interests, purchase history, and engagement levels, enabling you to tailor your messaging, create hyper-personalized experiences, and develop  pitch-perfect campaigns for each segment. 
  • Churn risk: Your CDP, with the assistance of GenAI, can identify customer churn risk indicators, kind of like a guardian angel protecting your customer base. By analyzing patterns in customer behavior, purchase frequency, and interaction history, you can identify customers at risk of churning. Armed with this knowledge, you can proactively retain these valuable customers, offering personalized incentives, targeted loyalty programs, and tailored communications to win them back. 
  • Customer Lifetime Value (CLV) analysis: Combining GenAI and CDP can give brands a deeper understanding of customer lifetime value (CLV). GenAI algorithms can analyze customer data within the CDP, such as purchase frequency, average order value, and customer engagement metrics, to identify high-value customers, predict their future value, and estimate potential churn risks. These insights can give you the tools to implement targeted retention strategies, personalized offers, and loyalty programs that can help maximize CLV and strengthen customer relationships. 
  • Product and service preferences: Through analyzing customer interactions and purchase data, Generative AI can identify which products and services resonate with your customers, highlighting emerging trends and providing insights for product development and inventory management. Brands can use this information to optimize their product offerings, enhance customer satisfaction, and boost sales. 
  • Content preferences: By analyzing the vast amounts of data gathered by your CDP, GenAI can uncover customer patterns and preferences, whether it’s an increase in video content consumption, the desire for interactive experiences, or the craving for bite-sized information, for example. Armed with this knowledge, you can create more of content that resonates with your audience, capturing their interest and fostering deeper connections. 
  • Engagement: GenAI combined with a CDP can provide dynamic, real-time insights into customer engagement levels. It can analyze data on customer interactions, such as email opens, click-through rates, website visits, and social media engagement, to identify differences between high-risk and low-risk customers. This means you’ve got 360 visibility into the types of interactions and channels that resonate most with your low-risk churn customers, allowing you to tailor your engagement strategies to increase customer satisfaction and reduce the risk of future churn. 
  • Customer Satisfaction and Sentiment: GenAI can perform sentiment analysis on customer interactions and feedback within your CDP. Analyzing customer support conversations, surveys, reviews, and social media mentions can gauge customer satisfaction and sentiment. This can help your team differentiate between high-risk churn customers who may exhibit negative sentiment and low-risk churn customers who are more satisfied. By understanding the drivers of customer satisfaction or dissatisfaction, you’ll be in a far better position to address concerns, improve your products or services, and implement retention strategies to mitigate churn risks. 

Amazon, Nike, Walmart, Sephora, Adidas … the big guys have been using GenAI to power their marketing efforts for some time now – but it’s not just for the big guys. According to a recent survey by tech giant IBM, 35% of businesses tell us that GenAI is one of the technologies set to bring significant changes to their business processes, including marketing, over the coming years; it has the power to be genuinely transformative, mainly when working alongside other technologies in your marketing arsenal.

The good news? We’re already helping brands embrace that transformation. If you’d like to find out how, let’s get the conversation started! 

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Pauline Fyfe

Pauline is a content writer, copywriter, and marketing professional who specializes in writing for start-ups, scale-ups and growing tech brands. She graduated from Central Saint Martin’s in London with an MA in Design at a time when the Internet was just coming into being. Deciding that’s where her real interests lay, she’s pursued a career focused on digital marketing ever since - and never looked back!